PRESS RELEASE
December 10, 2020

FY2020 Half-year Consolidated Financial Results
YoY decline in revenue and profit due to COVID-19～サブタイトル～Kansai Airports today announced its half-year consolidated financial results for the fiscal year
ended March 31, 2021, posting operating revenues of 26.6 billion yen, operating loss of 22.5
billion yen, ordinary loss of 26.0 billion yen, and net loss of 17.8 billion yen.
In this fiscal year, operating revenue decreased by 78% compared to the previous fiscal year due
to the impact of the spread of the COVID-19 infection. Although we worked to reduce expenses
including staff costs, the burden of fixed expenses was large, and operating income decreased
by 58.6 billion yen, ordinary income decreased by 56.8 billion yen, and net income decreased by
43.2 billion yen.
Consolidated Profit and Loss Statement
Item

Apr. 2019-

Apr. 2020-

Increase

ChangeSep. 2019

Sep. 2020(Decrease)(％)

Operating Revenues

119.8

26.6

(93.2)-78%

Operating Expenses（63.5)（28.4)

35.1

-55%

56.3

(1.8)

(58.1)（20.2)（20.6)(0.5)

Operating Income

36.2(22.5)(58.6)-

Ordinary Income

30.8(26.0)(56.8)-Net Profit1

25.5(17.8)(43.2)-EBITDA
Depreciation & Amortization1(in billion yen)

Net Profit: Net Profit Attributable to Company Shareholders+2%

Aviation Demand
Due to the worldwide spread of COVID-19, the aircraft movements at the three airports combined
was 76 thousand and the number of passengers was 3.5 million, which were decreased by 60%
and 87% respectively compared to previous year. In particular, with regard to international
passengers continued to be extremely severe, less than 1% of the previous year, for the first six
months, partly due to the expansion and continued immigration restrictions of each country and
the Japanese government. Domestic flights are still in a difficult situation, but after the emergency
declaration in May, there is a gradual recovery trend, and as of September, it has recovered toabout 30-40% compared to the previous year. On the other hand, cargo flights increased due totight cargo space due to suspension of passenger flights.

Item
ATMs (in thousands)

Apr. 2019-

Apr. 2020-

Increase

ChangeSep. 2019

Sep. 2020(Decrease)

(%)

191

76

(116)

-60％

KIX

106

28

(78)

-74％

ITAMI

70

37

(33)

-47％

KOBE

16

10

(5)

-34％

26.44

3.50

(22.95)

-87％

KIX

16.35

0.88

(15.47)

-95％

ITAMI

8.39

2.20

(6.20)

-74％

KOBE

1.70

0.43

(1.28)-75％

PAX (in millions)

Consolidated Balance Sheet
Both assets and liabilities as of September 30, 2020 decreased from the end of the previous fiscal
year. Assets decreased as decrease of cash and deposits due to a decrease in operating cash flow
because of the impact of the COVID-19 despite of striving to control cash spending. Liabilities
decreased due to payment of accounts payable and operating rights for public facilities, etc.. Asa result, total assets and liabilities were 1,680.4 billion yen and 1,588.7 billion yen, respectively.
(in billion yen)
Item
Current Assets
Non-current Assets
Total Assets
Current Liabilities

Increase

As of Mar. 31, 2019

As of Sep. 30, 2020

169.0

120.8

(48.2)

1,563.5

1,559.7(3.9)

1,732.5

1,680.4(52.1)(Decrease)

79.9

60.7

(19.2)

Non-current Liabilities

1,543.1

1,528.0(15.0)

Total Liabilities

1,623.0

1,588.7(34.2)

Shareholders' Equity

108.7

90,9

(17.8)

Other Comprehensive Income

(0.6)

(0.9)

(0.2)

1.5

1.6

0.1

Non-controlling Interests
Total Net Assets

109.6

91.7

(17.9)

Total Liabilities and Net Assets

1,732.5

1,680.4(52.1)

[Reference] Consolidated Financial Results

Contact Information
Public Relations
Group Corporate Communications Department
TEL: +81-72-455-2201

Consolidated Profit and Loss Statement
From April 1, 2020 to September 30, 2020

(Unit: Million yen)
Operating revenues

26,617

Operating expenses

42,179Gross operating loss

15,562

Selling, general and administrative expenses

6,894

Operating loss

22,457

Non-operating income

2,472Interest income and dividends
Subsidies for employment adjustment
Other non-operating income

297
1,973
201

Non-operating expenses

6,060

Interest expense

5,931

Commissions

50

Share of loss of entities accounted for using the equity method

57

Other non-operating expense

21

Ordinary loss

26,045Special gain

3,988

Gain on sales of non-current assets
Subsidies received
Gain on sales of investmentsecurities
Insurance claims for disaster

4
1,651
30
2,302

Special loss

3,407

Loss on retirement of non-current assets

19

Loss on sales of non-current assets2

Non-current assets advanced depreciation deduction

1,475

Removal cost related to replacement investment

1,872

Loss on disaster
Provision of allowance for loss on disaster
Loss on branch closings

70
△ 34
0

Loss before income taxes

25,464

Income taxes-current

316

Income taxes-deferred△ 8,126

Loss

17,653

Profit attributable to non-controlling interests

129

Loss attributable to owners of the parent

17,783Figures under one million yen are rounded down to the nearest million.

Consolidated Balance Sheet
As of September 30, 2020
(Unit: Million yen)

AssetsCurrent assets

Liabilities
120,767

Current liabilities

60,703

Cash and deposits

92,324

Accounts payable - trade

600

Notes and accounts receivable-trade

4,907

Accounts payable - other

8,786

Merchandise inventories

5,705

Accrued expenses

3,347

Raw materials and supplies

1,189

Guarantee deposits refundable
within one year
Accounts receivable - other

7,804

Current portion of long-term loans
payableCurrent portion of liabilities for theright to operate public facilities

3,353
29,876

2,083

Income taxes payable

7,712

Other

6,781

Provision for bonuses

982

Allowance for doubtful accounts△ 29

Provision for point card certificates

80

Other
Non-current assets

5,963

1,559,651

Non-current liabilities

Property, plant and equipment

43,292

Bonds payable

Buildings and structures

3,883

Long-term loans payable

Machinery, equipment andvehicles

10,577

Liabilities for the right to operate
public facilities

Tools, furniture and fixtures

7,053

Provision for special repairs

47,709603

Provision for loss on disaster

1,014

21,034

Liability for retirement benefits

4,988

Other

11,085

Total liabilities

1,588,727

LandConstruction in progress
Other
Intangible assets

140

1,528,024
4,860
161,000
1,297,366

1,404,824

Right to operate public facilities

1,365,094

Replacement investment assets

38,307

Other

1,422

Net assets

Investments and other assets

111,534

Shareholders' equity

90,911

Investment securities

1,171

Capital stock

25,000250

Capital surplus

25,000Retained earnings

40,911

Asset for retirement benefits
Guarantee deposits

93,895

Deferred tax assets

16,040

Accumulated other comprehensive

△ 864

473

Deferred gains or losses on hedge

△ 864

Other
Allowance for doubtful accounts

Total assets△ 297

1,680,418

Figures under one million yen are rounded down to the nearest million.

Non-controlling interests

1,643

Total net assets

91,690Total liabilities and net assets

1,680,418

Kansai Airports was established by a consortium made up of VINCI Airports and ORIX Corporation as its core
members. Kansai Airports took over the operations of Kansai International Airport (“KIX”) and Osaka
International Airport (“ITAMI”) from New Kansai International Airport Company (“NKIAC”) and has been
operating the two airports since April 1, 2016.
Kansai Airports Kobe, Kansai Airports’ wholly-owned subsidiary, took over the operations of Kobe Airport(“KOBE”) from Kobe City and started its business as an operating company on April 1, 2018.
Under the concept of “One Kansai Airports Group”, Kansai Airports group strives to continuously improve its
services for all airport guests through appropriate investments and efficient operations, with safety and security
being the top priority. Kansai Airports group aims to maximize the potential of the three airports, for the benefitof the communities they serve.
For more information, please visit：http://www.kansai-airports.co.jp/en/

Kansai Airports
Location

1-banchi, Senshu-kuko kita, Izumisanoshi, Osaka

Shareholders

ORIX 40%,VINCI Airports 40%,
Other investors 20%1

Company
Representatives

Representative Director and CEO: Yoshiyuki Yamaya
Representative Director and Co-CEO: Benoit Rulleau

Business Scope

Operation and management services, etc. of Kansai International Airport and Osaka
International Airport

Kansai Airports Kobe
Location

1-ban, Kobe-kuko, Chuo-ku, Kobe-shi,
Hyogo

Shareholder

Company
Representatives

Representative Director and CEO: Yoshiyuki Yamaya
Representative Director and Co-CEO: Benoit Rulleau

Business Scope

Operation and management services, etc. of Kobe Airport

Kansai Airports 100％

ORIX Corporation (TSE: 8591; NYSE: IX) is an opportunistic, diversified, innovation-driven global powerhousewith a proven track record of profitability. Established in 1964, ORIX at present operates a diverse portfolio of
businesses in the operations, financial services, and investment spaces. ORIX’s highly complementary businessactivities span industries including: energy, private equity, infrastructure, automotive, ship and aircraft, realestate and retail financial services. ORIX has also spread its business globally by establishing locations in a totalof 37 countries and regions across the world. Through its business activities, ORIX has long been committed tocorporate citizenship and environmental sustainability. For more details, please visit our website:
http://www.orix.co.jp/grp/en/

VINCI Airports, as the leading private airport operator in the world, manages the development and operation of
45 airports located in Brazil, Cambodia, Chile, Costa Rica, the Dominican Republic, France, Japan, Portugal,
Serbia, Sweden, the United Kingdom and the United States. Served by more than 250 airlines, VINCI Airports'
network handled 255 million passengers in 2019. Through its expertise as a comprehensive integrator, VINCIAirports develops, finances, builds and operates airports, leveraging its investment capability, international
network and know-how to optimise the management and performance of airports and to carry out airport
expansions and upgrades. In 2019, its annual revenue for managed activities amounted to €4.9 billion, for a
consolidated revenue of €2.6 billion.
More comprehensive information is available on www.vinci-airports.com
1

ASICS Corporation; Iwatani Corporation; Osaka Gas Co., Ltd.; Obayashi Corporation; OMRON Corporation; The Kansai Electric Power Company, Incorporated; KintetsuGroup Holding Co., Ltd.; Keihan Holdings Co., Ltd.; Suntory Holdings Limited; JTB Corp.; Sekisui House, Ltd.; Daikin Industries, Ltd.; Daiwa House Industry Co., Ltd.;
Takenaka Corporation; Nankai Electric Railway Co., Ltd.; NIPPON TELEGRAPH AND TELEPHONE WEST CORPORATION; Panasonic Corporation; Hankyu Hanshin Holdings,
Inc.; Rengo Co., Ltd.; The Senshu Ikeda Bank, Ltd.; Kiyo Holdings, Inc.; The Bank of Kyoto, Ltd.; THE SHIGA BANK，LTD.; The Nanto Bank, Ltd.; Nippon Life Insurance
Company; Mizuho Bank, Ltd.; Sumitomo Mitsui Trust Bank, Limited; MUFG Bank, Ltd.; Resona Bank, Limited; and the Private Finance Initiative Promotion Corporation ofJapan.

FY2020 Half-year Consolidated
Financial Results
2020.12.10

AgendaOverview of Consolidated
Financial Results
Revenue Drivers
Initiatives in H1 FY2020

1

Overview of Consolidated Financial Results2

Operating revenues and operating income decline due tothe impact of COVID-19
1. Due to the worldwide spread of COVID19, the flights has been reduced andsuspended, mainly for passenger
flights. As a result, the number ofaircraft movements and passengers
have decreased significantly. In
particular, international passengers is
less than 1% of the last year.
2. Due to a decrease in the number ofaircraft movements and passengers,
operating revenues decreased
significantly compared to the previous
year.
3. Although efforts are being made to
reduce costs, including staff costs, theburden of fixed costs is large, resulting ina significant decrease in profits.

(in billion yen)
Apr. 2019Sept. 2019

Apr. 2020Sept. 2020

Change％Operating
Revenues

119.8

26.6

(93.2)-78%

EBITDA

56.3

(1.8)

(58.1)-

Operating
Income36.2(22.5)(58.6)-

Ordinary
Income30.8(26.0)(56.8)-Net Profit*

25.5(17.8)(43.2)-* “Net Profit” represents “Net Profit Attributable to Parent Company Shareholders”

3Operating Results(in billion yen)
Apr. 2019 Sept. 2019

Apr. 2020 –Sept. 2020

Increase(Decrease)

Change
％

119.8

26.6

(93.2)

-78%

Aero

49.3

9.5

(39.8)-81%

Non-Aero

70.5

17.1

(53.4)-76%

Operating Expenses (excl. D&A)

(63.5)(28.4)

35.1-55%

EBITDA

56.3

(1.8)

(58.1)-

Depreciation & Amortization(20.2)(20.6)(0.5)+2%

Operating Income

36.2(22.5)(58.6)-

Non-operating Profit and Loss

(5.4)

(3.6)

1.8

-

Ordinary Income

30.8(26.0)(56.8)-

Extraordinary Profit and Loss

6.2

0.6

(5.6)

-91%

(4.5)

Income Taxes, Profit Attributable toNon-controlling Interests(11.5)

7.7

19.2

-

1.4

25.5

(17.8)(43.2)-(3.1)

Operating Revenues

Net Profit

1

Typhoonimpact1 “Net Profit” represents “Net Profit Attributable to Parent Company Shareholders”

4EBITDA (vs Previous year)(in billion yen)

-27.6

5

Balance sheet(in billion yen)
As of Sept. 30, 2020

169.0

120.8

(48.2)Cash and deposits

128.0

92.3

(35.7)

Non-current Assets

1,563.5

1,559.7(3.9)

1,732.5

1,680.4(52.1)

79.9

60.7(19.2)

1,543.1

1,528.0(15.0)

1,623.0

1,588.7(34.2)

108.7

90.9

(17.8)

Other Comprehensive Income

(0.6)

(0.9)

(0.2)

Non-controlling Interests

1.5

1.6

0.1

TOTAL NET ASSETS

109.6

91.7

(17.9)TOTAL LIABILITIES AND NET ASSETS

1,732.5

1,680.4(52.1)

Current Assets

Right to Operate
Public Facilities, etc.

TOTAL ASSETS
Current Liabilities

Debts concerning
Right to Operate
Public Facilities, etc.

Increase(Decrease)

As of Mar. 31, 2020

Non-current Liabilities
TOTAL LIABILITIESShareholders' Equity

6Revenue Drivers
7

Aero: YoY Decline in ATMs and Passenger Traffic due to COVID-19
 Due to the worldwide pandemic, aircraft movements andpassenger traffic at the three airports combined decreased
by 60% and 87% from last year, respectively.
 International passenger flights (KIX):
The majority of flights were reduced and suspended
with extensive border controls introduced by governments
including Japan. Air travel demand fell to a minimum
throughout the first half of FY2020 with a limited numberof people travelling mainly for repatriation.
 Domestic passenger flights (KIX, ITAMI, and KOBE):
The spread of infections and travel restrictions led to asignificant year-on-year decline in aircraft movements andpassenger traffic. We saw a modest recovery after
demand bottomed out in May under the state of
emergency. But the upward trend temporarily slowed
down due to a resurge of COVID-19 cases in Japan fromlate July to early August. However, thanks to resumed
flights during the long holidays in September, passenger
traffic is picking up again.

H1 FY2019 H1 FY2020

Change％ATMs(in thousands)

191

76

(116)

-60%

KIX

106

28

(78)

-74%

ITAMI

70

37

(33)

-47%

KOBE

16

10

(5)

-34%

Passengers(in millions)26.44

3.50 (22.95)

-87%

KIX

16.35

0.88 (15.47)-95%

International
passengers

12.76

0.06

(12.70) -99.5%

Japanese

3.98

0.02

(3.96) -99.4%

Non-Japanese

8.67

0.03

(8.64) -99.6%

Domestic

3.59

0.82

(2.77)

-77%

ITAMI

8.39

2.20

(6.20)

-74%

KOBE

1.70

0.43

(1.28)-75%
8

Aero: ATMs at 3 Airports
International Cargo Flights (January - October 2020)

Passenger Flights (January - October 2020)
ATMs（Thousand）

35
30

KIX Dom

ITAMI

2,500

KOBE

2
2

11

15

11

4

10

4
13

5

8

0
Jan

2,225
2,002

2,000

25
20

ATMs

（Movement）

KIX Intl

Feb

1,074
2

10

2

1
5

4
3
Mar

20%

10

1
7

7

7

2

3
1

2

4

2

2

Apr

May

Jun

Jul

Aug

Sep

Oct

0
Jan

Feb

Mar

0%

6%

-1%

4%

-20%

KIX Dom

Apr

-34%
-51%

-60%

-76%

-56%

-75%
-80%
-80%

-58%

-44%

-61%

Jun

Jul

-17%
-19%

-46%

Aug

Sep

Oct

72%

97%

94%

75%

69%

77%

60%
60%

-39%

-34%
40%

-44%
-45%

-37%
12%

20%

-100%

-97%

-98%

-97%

May

Jun

Jul

-97%

-96%

-97%
0%

-97%

-120%

Taiwan384

Southeast Asia

377

North America

Feb

Mar

Apr

Aug

22
0

Europe251

Middle East

258

Oceania

0

Guam

0

Others

6

-5%

-20%

Jan

312

20%

-75%

-80%

221

Hawaii

-12%
-30%

-29%

May

YoY Growth

80%
-19%

255

KOBE

-2%

-13%

-40%

ITAMI

Korea
South Korea
China

1,091

100%
KIX Intl

2,092

500

1
4
1

21%

9%
0%

1,880

2,016

1,000

1

30%

24%

2,078

Hong KongMacau

YoY Growth
40%

2,140

1,489

1,500

2

International Passenger Flights
Total ATMs by Region(April - September 2020)

Sep

Oct

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

Oct

（Movement）

0

100 200 300 400 500*The number of international passenger flights includes those operated for transporting cargo only

9

Aero: Passenger Traffic at 3 Airports（Thousand）

Passenger Traffic

YoY Growth(January - October 2020)(January - October 2020)
20%

4,500

14%
8%

4,000

281
0%

3,500

4%
2%
0%

-1%
-3%

1,291
3,000

-20%

266

-41%

2,500
553
2,000

1,190

-43%

-43%

-49%
-61%

-46%
-60%

1,500
507
1,000

-40%

663
1,072

0

Jan

-54%

163
151

2,053

500

-64%

Feb

52
377

38

241

153

Mar

Apr

KIX Intl

66 6.813107
32 5.0May

KIX Dom

318
74
7.3

Jun
ITAMI

110

105

107

506

516

595

193

242

211

11.4

Jul

15.8

Aug
KOBE

13.4

Sep

780
278
16.2

Oct

-92%

-80%
-89%

-85%
-88%
-88%

-95%
-95%

-99.7%

-100%

Jan

Feb

Mar

KIX Intl

Apr

-65%

-76%
-80%

-69% -68%
-68%

-65%

-87%

-99.8% -99.7%-99.5% -99.3%

May

Jul

KIX Dom-51%-63%-57%

Jun

ITAMI

Aug

-99.3% -99.2%

Sep

Oct

KOBE

10

International Cargo: ATMs, Cargo Volume and Trade ValueKIX International Cargo Volume and Trade value（April - September 2020）(Thou. ton)

(Bil. JPY)

500
4,265

4,551

4,233

5,000

(Year on Year : -7%)

400

4,000

300

Despite the drop in cargo volume, aircraft
movements marked a significant growth as aresult of cargo flights operated to make up fora loss of belly capacity caused by suspensionof passenger flights.
Aircraft movements drastically increased for
FedEx and Chinese carriers such as Hangzhou
YTO Express Airlines and SF Airlines.
Lufthansa Cargo introduced a new fleet fromthe 2020 winter schedule.

KIX International Cargo ATMs
(April - September 2020)

3,000
389

372

200

345
(-7%)

100

(Movement)

2,000

1,000

12,0008,000
12,341
4,000

0

0
2018

2019

,
TTL Volume (Load・Unload)

2020,
TTL Value (Export・Import)

6,660

6,951

2018

2019

（+78%）

02020
11Non-Aero: YoY Decline in Revenue due to COVID-19
 Non-Aero revenue in the first half of FY2020 fell by 53.4 billion yen (down 76%) year-on-year due to a sharp
drop in passenger traffic amid the prolonged COVID-19 crisis.
 Monthly revenue is on an upward trend as passenger traffic gradually picks up thanks to partial resumption ofinternational passenger flights and recovery of domestic services.
 Initiatives are under study to expand revenue toward the post-COVID-19 recovery in passenger numbers.
(in billion yen)

80

60

40

20

Non-Aero Revenue
70.5
OthersRetail, F&B

Duty-free

-38%

-96%
17.1
-99%

Others0H12019FY2019H12020
FY2020(fiscal year)*Others: Revenue from real estate, tenant, hotel, etc.
*Duty-free, Retail and F&B: Revenue of directly managed stores

12

Initiatives in H1 FY2020
13

Initiatives in H1 FY2020
COVID-19 safety measures at three airports
・Protection of passengers andemployees
Airport staff wearing masks & gloves,and sneeze guards installed
・Health screening
Temperature checks on airport visitors
using thermo scanners

Sorayan debuted as LINE creators’ sticker (Aug 5)・Communication via
Kansai Airports Group’s official mascot
in-terminal announcements, Sorayan debuted as original sticker in theposters, etc.
communication app LINE in commemorationof the grand re-opening of ITAMI.

・Disinfection and cleaning
Clean and disinfect counters, security
checkpoints, escalators, etc., and install
hand sanitizer dispensers
・Social distancing
Ensure social distancing at security
checkpoints, departure lounges, etc.

As part of the COVID-19
prevention measures, we carriedout the Wear Mask campaign onJune 19, encouraging
passengers traveling through thethree airports to take safety
precautions.

Light It Blue at three airports in support of healthcare
workers (Sept 17)
The three airports in Kansai light up in blue until February 28, 2021, as partof the Light It Blue campaign which honors frontline healthcare workers
battling COVID-19. With this, we show our gratitude for the hard work of all
medical workers as well as our wish for a quick end to the pandemic and a
return to normal life in which we can freely travel across the blue sky.

Three airports’ joint video message to mark 2020 Sky Day(Sept 20)
KIX, ITAMI and KOBE delivered a joint video message
marking the Sky Day on September 20.
The video is a collaborative work with airport-related
business operators to help the public learn more about
aviation and to reassure travelers that COVID-19
precautions are being taken and it is safe to fly again.
14

Initiatives in H1 FY2020
KIX: E-gates at international departures (July 27)

ITAMI: Motorcycle rental shop (Aug 1)

The e-gates opened with an aim to further
promote our Fast Travel initiative.
Travelers can now self-scan their boarding pass
to go through the gate and enter the security
screening area. This makes the departing process
more seamless for passengers.

A motorcycle rental shop Rental 819 openedon the airport’s premises, offering a total ofaround 50 bikes in its lineup to meet diverse
customer needs including motorcycle tours,
business travel, and homecomings. The shop
directly connected to the airport’s northterminal building enables travelers toseamlessly hit the road right after their flight.

ITAMI: Pedestrian deck connecting parking withmonorail station (June 26)
We opened a new pedestrian deck connecting theNorth Parking Structure with the monorail station,
aiming to improve accessibility for customers.
This enables visitors to move to and from theterminal building without getting wet in the rain.
And the barrier-free design allows increased
mobility for everyone.

ITAMI: Grand re-opening (Aug 5)
ITAMI re-opened on August 5 after the first major renovation in about 50
years. Post-security, we introduced Japan’s first walk-through commercial
space in the domestic gate area, providing a unique experience fordomestic passengers that are on the increase. Variety of new stores are
attracting both passengers and non-passengers.

ITAMI: Waiting room for long-distance buses (July 1)
ITAMI unveiled a new waiting room for longdistance buses serving a total of 11 routes to andfrom the airport. Facility users can enjoy accessto free Wi-Fi, vending machines, and digital
signage showing bus timetables, flightinformation, and traffic information.
15